Stargate by i hub

Susanna Varho – eitdigital.eu

STARGATE by iHub

High-growth Acceleration programme to help startups grow further

1


Outline

1. iHub.eu the road by far

2. Stargate high-growth programme

3. iHub Fund

2


About iHub

3 3

EIT DIGITAL MISSION - 6 EIT Digital nodes as the core of the iHub

network: Helsinki, Paris (+Sophia-Antipolis), Trento, Budapest, Madrid and Ghent (iMinds).

- Scouting at the footsteps of ARISE.

- Taking FIWARE approach.

RESULT

- 24 business incubators-accelerators gathering entrepreneurs, investors, mentors, industry representatives & public innovators from Europe and beyond.

- Large accumulated experience and network and thousands of startups accelerated.


Common mission - Pan-European Super Accelerator - STARGATE

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TARGET STARTUPS

Established startups that aim to

expand internationally

▪Traction

▪Founding team in charge

▪External investors on board

▪IP within the company

FOCUS

“SMART CITIZEN”

ICT startups with high-growth

potential, providing solutions

for different verticals:

Smart Cities, Smart Grid, eHealth, Security and

privacy


STARGATE Selection Procedure

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STARGATE

Best Startups

from iHubs and

beyond

An international online iHub contest with

an independent

jury

iHub A

…

iHub N

12 startups

National iHub ++

selection

National contests for

current and alumni

portfolio companies

of iHub members

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Best startups

selected from Hub

portfolio and from

external applicants

compete at the

international contest

2

12 startups join

STARGATE 3

Nov 2015 Dec 2015 Jan - April 2016

Sele

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the

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STARGATE Proposition to Stakeholders

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CUSTOMIZED MENTORING

The program is industry, region and team-

background specific

SALES & FUNDING

Tailored access to industry and investors across

Europe and beyond

STARTUPS

QUALITY

3-stage selection process covering whole

Europe gathers the best ventures

SYNIDCATES WITH LOCAL EXPERTS

Co-investing with investors from other regions

reduces the risk

INVESTORS

EFFICIENT INNOVATION MANAGEMENT

Testing new business models and technologies

during pilot projects

CORPORATES

INNOVATIVE MINDSETS Educating the employees by engaging them into workshops & startup mentoring


STARGATE Playbook

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▪2 weeks at the local Hub setting up

milestones and a tailored acceleration plan

▪End of April – demo day

Monday Tuesday Wednesday Thursday Friday Saturday Sunday

15- February Preparation at the local hub – milestones and an individual action plan 20 21

22- February 27 28

29 26 27 28 29 5 6

7 2 3 4 5 12 13

14 9 10 11 12 19 20

21 16 17 18 19 26 27

28 29 30 31 1- April 2 3

4 5 6 7 8 9 10

11 12 13 14 15 16 17

18 19 20 21 22 23 24

25 26 27 28 29 30 1- May

2 3 4 5 6 7 8

9 10 11 12 8 14 15 Demo Day

Preparation & execution of sales meetings

Fundraising

Online and offline workshops with selected

mentors

VISITING 2 - 4 HUBS DEPENDING ON THE

NEEDS AND FIT: London, Berlin, Helsinki, Paris

Company expansion abroad


Corporate Benefits

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100.000,- Investment

Scouting

▪Market Research/ Market

Intelligence

▪Identification of innovative topics

in respective verticals

500.000,- Investment

Accelerator Participation

▪Jury Member

▪Participation in selected events

▪Insights into selected

technologies

▪Right to invest

▪Team mentoring

▪Access to selected partners of

the Accelerator Network

1.000.000,- Investment

Exclusive Accelerator

▪Final decision power over what

teams will be accepted

▪Active participation in all events

▪Detailed technology insights

▪First right to invest

▪Team mentoring

▪Access to Accelerator Network

▪Equity participation


1st STARGATE Program

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1 Million

10 startups

3-5 hosting hubs

Money for travel

50k in cash

Price: 7.5% equity

BUDGET

200.000,- min.

SCOPE

6 startups

2-3 hosting hubs

400.000,-

10 startups

3-4 hosting hubs

OFFER

Money for travel

Money for travel

Goal of the first program – establishing network and program credibility


Time Plan and Outcomes

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Oct Jan Apr July

Feedback

Program online

200k LoI

250 applicants

100 investor intros

100 client intros

100 qualified applications

Program analysis

Sponsoring Promotion

National calls IntS

STARGATE DemoD

Feedback Expected outcomes

15/2

15/1

1/11


90% of 6% Equity/ Startup

Startups

Two different finance strategies have been discussed

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Corporate Sponsor (Strategy A) – Example: VCs and Angels (Strategy B) – Example:

Corporate Sponsor

Startups Accelerator

€ 3 Mio. Investment

€ 1 Mio. Admin Fees

€ 1 Mio. profit

€ 20 k/ Startup

Investment

Shares 6% Equity/

Startup (€ 330 k valuation)

€ 1 Mio. Soft Loan

Syndicate of Investors

€ 1 Mio. Investment

Accelerator € 20 k/ Startup

Investment

Shares 10% of 6%

Equity/ Startup

Need to specify sponsoring packages for the first run


A 3-month STARGATE program

SALES ▪Sales pitch / product demo training ▪Industry expert insights

INTERNATIONALISATION ▪Establishing an entity abroad ▪Tax advisory

FUNDING ▪Fine-tuning the relevant docs

ORGANISATION ▪Management up to date for scale ▪Measures and tools for distributed, international organisation

CONNECTIONS ▪Matchmaking with investors & customers ▪Roadshows at various locations ▪PR activities across the network

SCALING YOUR PRODUCT CUSTOMIZING YOUR SOLUTIONS ▪Compliance with data privacy laws ▪Quick language adaption ▪Guidance with system integration

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BIZ TRACK TECH TRACK

PERKS

▪Office space in strategically relevant locations

▪AWS, IBM, MS Biz Park (airlines would be

awesome), etc vouchers

▪Other ideas?

To be negotiated


STARGATE: Open call for startups

• October 2015

• Advertised on : • http://ihub.eu/ • https://www.f6s.com/

• Contact: [email protected]

http://ihub.eu/

http://ihub.eu/

https://www.f6s.com/

https://www.f6s.com/


STARGATE Fund

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KPIs until July 2016

• Completing Fund legal structuring

• Equity structure should be confirmed by iHub

members

• Game plan for fundraising, execution – ready

and approved

• 18/9: Demo Day of the Stargate Fund

• The Fund to be ready for the first

STARGATE program…

Roadmap for 30 Sept

• 10 iHub members to invest in the fund

• 5 External Investors to join to invest in the

fund

• 5 External Investors to have a co-investment

agreement with the fund

• 5 “leading”/influential persons part of at the

Advisory Board

• One leading European Fund invested in the

iHub Fund


First draft thoughts about the iHub Fund Type: Limited type of company with shares and voting control. Structure preferably will not be an NGO. Currently UK is the favorite. Country of the fund will be relevant for the regulation of the fund structure!

Size: Looking for an initial round of 300KEuro, min 20K ticket. 5 highest investors will have board seats. Ownership depending on investment (% of total of fund raise). Advisory board with external key people. Investors limited to Ihub team members, either persons or institutions that embrace the "share-crowdsourcing-emptying-pockets: we are better than I"

External Investors: External investors will be welcomed, initially without any ownership, so we could find a way to coinvest and carry-of-interest (20-30%) will remain in the hands of Stargate Fund. Limited to professionals / companies with high risk investment profile.

Investment policies: Minority stake in startups in Stargate program. Part will be in equity for services/part will be equity for investment.

Managed by a professional Fund Manager

Stargate by i hub

Healthcare

Transcript of Stargate by i hub